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Yelloh, formerly known as Schwan’s, going out of business; 79 Wisconsin workers losing jobs

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Yelloh, formerly known as Schwan’s, going out of business; 79 Wisconsin workers losing jobs

The frozen food delivery service Yelloh, formerly known as Schwan’s Home Delivery, will go out of business in November, the company announced Monday, meaning nearly 80 Wisconsin workers will lose their jobs.

The Minnesota-based, frozen-food home-delivery service operated for 72 years and made frozen meals, foods, treats and ice cream that it delivered to Americans’ doorsteps in its iconic yellow trucks. The company cited “insurmountable” business challenges and changes in consumer lifestyle as the reasons for closing.

Board member Michael Ziebell said in a news release that Yelloh had been fighting against the nationwide staffing and food supply chain issues caused by the pandemic.

“These challenges, combined with changing consumer lifestyles and competitive pressures that have been building for over 20 years, made success very difficult,” Ziebell said. “Digital shopping has replaced the personal, at-the-door customer interaction that was the hallmark of the company.”

Yelloh will wind down operations over the next two months, the release said, allowing the company to give employees notice and pay in accordance with the WARN Act. Nov. 8 is the last day to buy products via Yelloh trucks.

Yelloh will lay off its Wisconsin employees

Cygnus Home Service, LLC, submitted a Worker Adjustment and Retention Notification letter to the Wisconsin Department of Workforce Development on Monday, saying eight Wisconsin Yelloh facilities will close in November. They’re in Fennimore, Fond du Lac, Franklin, Green Bay, Prairie du Sac, River Falls, Sun Prairie and West Salem.

Seventy-nine Wisconsin workers will be permanently laid off, the letter says. Employees will be paid through Nov. 22.

Schwan’s Home Delivery rebranded to Yelloh in 2022

The company began as Schwan’s Home Delivery in 1952 in Marshall, Minn. It eventually grew to regularly provide frozen meals to thousands of households across almost every U.S. state.

The company rebranded to Yelloh in 2022 but stuck to its tagline of being the “original frozen food company.” Yelloh employs about 1,100 employees nationwide.

“It’s with heavy hearts that we made the difficult decision to cease operations of Yelloh,” CEO Bernardo Santana said in the release. “We are thankful to our many loyal customers and hard-working employees for everything they have done to support us.”

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